Matt Yglesias

Oct 19th, 2008 at 12:27 pm

FBI Overstretch

An interesting New York Times account observes that the FBI is having been problems dealing with a wave of financial fraud cases thanks, in part, to its heavy post-9/11 focus on terrorism and counterintelligence missions.

But of course one sort of suspects that the Bush administration’s general disinclination to punish white collar crime has something to do with this as well. After all, they’ve always seemed able to find plenty of personnel to investigate bogus “voter fraud” allegations, persecute ACORN, etc.






13 Responses to “FBI Overstretch”

  1. Walker Says:

    When the housing/financial blogs first came into their own (around 2005), there were quite a few reports on the ground about citizens trying to get the FBI to pay attention to fraud — when it would have made a difference. They were always ignored, told that the FBI did not have the resources, or the desire, to go after these types of cases.

  2. JH Says:

    After all, they’ve always seemed able to find plenty of personnel to investigate bogus “voter fraud” allegations, persecute ACORN, etc.

    Also: internet sites that sell bongs, civil rights violations with white victims, etc.

  3. JP Says:

    They were always ignored, told that the FBI did not have the resources, or the desire, to go after these types of cases.

    This directly contradicts the article which suggests that the FBI did have the desire to do something about this:

    Since 2004, F.B.I. officials have warned that mortgage fraud posed a looming threat, and the bureau has repeatedly asked the Bush administration for more money to replenish the ranks of agents handling nonterrorism investigations, according to records and interviews. But each year, the requests have been denied, with no new agents approved for financial crimes, as policy makers focused on counterterrorism.

  4. Walker Says:

    This directly contradicts the article which suggests that the FBI did have the desire to do something about this:

    I am reporting what people who talked to FBI were told by their local field offices in 2005 (unfortunately, much of this was in the comment sections of places like Calculated Risk and Ben’s Housing Bubble Blog, so I can retrieve them with teh Google). It may be that a few people in the FBI thought it was important at the time, but none of this was communicated to the field offices. The official line from local offices was that this was not an important problem.

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